Citigroup Issues Pessimistic Forecast for First Watch Restaurant Group (NASDAQ:FWRG) Stock Price

First Watch Restaurant Group (NASDAQ:FWRG) had its target price dropped by analysts at Citigroup from $26.00 to $21.00 in a report issued on Wednesday,Benzinga reports. The firm presently has a “buy” rating on the stock. Citigroup’s price target would indicate a potential upside of 59.70% from the stock’s previous close.

Several other equities research analysts have also recently issued reports on FWRG. Wall Street Zen raised shares of First Watch Restaurant Group from a “sell” rating to a “hold” rating in a research report on Saturday, November 8th. Barclays cut their price target on First Watch Restaurant Group from $19.00 to $17.00 and set an “overweight” rating on the stock in a research note on Wednesday. Piper Sandler reaffirmed an “overweight” rating and set a $19.00 price objective on shares of First Watch Restaurant Group in a research report on Tuesday. Stephens cut their target price on First Watch Restaurant Group from $24.00 to $21.00 and set an “overweight” rating on the stock in a research report on Wednesday. Finally, Weiss Ratings restated a “hold (c-)” rating on shares of First Watch Restaurant Group in a research note on Monday, December 29th. One investment analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating and two have issued a Hold rating to the company. According to MarketBeat, First Watch Restaurant Group currently has a consensus rating of “Moderate Buy” and a consensus target price of $20.08.

First Watch Restaurant Group Stock Up 5.0%

FWRG stock opened at $13.15 on Wednesday. The company’s 50 day moving average price is $15.90 and its 200 day moving average price is $16.76. The firm has a market capitalization of $803.99 million, a price-to-earnings ratio of 42.42, a PEG ratio of 2.42 and a beta of 0.88. First Watch Restaurant Group has a fifty-two week low of $12.16 and a fifty-two week high of $21.99. The company has a debt-to-equity ratio of 0.43, a quick ratio of 0.21 and a current ratio of 0.29.

First Watch Restaurant Group (NASDAQ:FWRG) last issued its quarterly earnings results on Tuesday, February 24th. The company reported $0.24 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.08 by $0.16. First Watch Restaurant Group had a net margin of 1.59% and a return on equity of 3.20%. The company had revenue of $316.35 million during the quarter, compared to the consensus estimate of $317.49 million. During the same quarter in the previous year, the firm earned $0.01 earnings per share. The firm’s quarterly revenue was up 20.2% on a year-over-year basis. On average, equities research analysts anticipate that First Watch Restaurant Group will post 0.32 EPS for the current fiscal year.

Insiders Place Their Bets

In other First Watch Restaurant Group news, Director William A. Kussell sold 6,165 shares of the firm’s stock in a transaction on Thursday, January 22nd. The shares were sold at an average price of $17.00, for a total transaction of $104,805.00. Following the transaction, the director directly owned 26,402 shares of the company’s stock, valued at approximately $448,834. This trade represents a 18.93% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. 6.00% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On First Watch Restaurant Group

Several hedge funds have recently made changes to their positions in FWRG. Royal Bank of Canada grew its holdings in shares of First Watch Restaurant Group by 67.3% during the first quarter. Royal Bank of Canada now owns 54,267 shares of the company’s stock worth $903,000 after buying an additional 21,830 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its position in First Watch Restaurant Group by 31.8% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 22,766 shares of the company’s stock worth $379,000 after acquiring an additional 5,497 shares during the period. Oppenheimer Asset Management Inc. lifted its position in First Watch Restaurant Group by 76.1% during the 2nd quarter. Oppenheimer Asset Management Inc. now owns 22,959 shares of the company’s stock worth $368,000 after acquiring an additional 9,920 shares during the period. Emerald Advisers LLC purchased a new position in shares of First Watch Restaurant Group in the 2nd quarter valued at approximately $6,173,000. Finally, Arkadios Wealth Advisors increased its holdings in shares of First Watch Restaurant Group by 12.2% in the second quarter. Arkadios Wealth Advisors now owns 76,861 shares of the company’s stock valued at $1,233,000 after purchasing an additional 8,358 shares during the period. Institutional investors and hedge funds own 96.11% of the company’s stock.

First Watch Restaurant Group News Summary

Here are the key news stories impacting First Watch Restaurant Group this week:

• Positive Sentiment: Q4 results showed an earnings beat and healthy top-line growth: management reported EPS above consensus and revenue roughly in line while revenue grew ~20% year-over-year, signaling underlying demand and improving profitability versus the prior-year quarter. Article Link
• Positive Sentiment: Corporate investor outreach: First Watch will participate in three investor conferences in March, increasing management access to investors and providing visible near-term catalysts (presentations/Q&A) that can help rejustify valuation if management delivers on guidance. Article Link
• Neutral Sentiment: Analysts continue to rate the stock positively: several firms (Citigroup, Guggenheim, Stephens, Barclays) maintained Buy/Overweight stances even after updating models — this supports a constructive narrative but leaves upside tied to execution against guidance. Benzinga Summary
• Negative Sentiment: Multiple price-target cuts: Citi cut its PT to $21, Barclays to $17, Guggenheim to $21 and Stephens to $21. Those reductions trim the implied upside and reflect more cautious near-term expectations. Price Target Coverage
• Negative Sentiment: Guidance and valuation concerns: a recent critique flagged that FY2026 guidance implies slower same-store sales (1–3%) and no margin leverage, while the stock still trades at a stretched P/E — raising the risk that upside is limited absent acceleration or margin improvement. Seeking Alpha Analysis

First Watch Restaurant Group Company Profile

First Watch Restaurant Group, Inc (NASDAQ: FWRG) operates a specialty daytime dining concept focused on breakfast, brunch and lunch. The company’s casual, full-service cafés emphasize fresh ingredients, made-to-order entrées and a seasonally driven menu that ranges from omelets and Benedicts to salads, skillets and afternoon sandwiches. First Watch positions itself as a daytime-only destination, with most locations opening early morning and closing by mid-afternoon.

Founded in 1983 by Ken Pendery and John Sullivan in Pacific Grove, California, First Watch began as a single café and gradually expanded through company-owned and select franchised locations.